Southwest Engineering Co. v. Martin Tractor Co., Inc.

Southwest Engineering (plaintiff), relying on a generator price quote from Martin Tractor Co. (defendant), submitted and won a bid on a military construction contract, but at a later meeting Martin's manager Hurt increased the price to $21,500 in a handwritten memorandum he signed only with his printed name, which Southwest's superintendent Cloepfil accepted; the two discussed but never agreed on a payment schedule. When Martin failed to deliver the generator, Southwest bought a replacement elsewhere at a higher price and sued for breach; Martin argued no enforceable contract existed, but the trial court found an agreement was formed at the meeting, and Martin appealed.